ONLY NEED PART F
appendix a
appendix b
appendix d
A firm has the following investment alternatives: Each investment costs $3,400; investments B and C are mutually exclusive, and the firm's cost of capital is 9 percent. Use Appendix A, Appendix B and Appendix D to answer the questions. Assume that the investments are not mutually exclusive and there are no budget restrictions. a. What is the net present value of each investment? Use a minus sign to enter a negative values, if any. Round your answers to the nearest dollar. A: $ B: $ C: $ b. According to the net present values, which investment(s) should the firm make? The firm should make investment(s) c. What is the internal rate of return on each investment? Round your answers to the nearest whole number. A: % B: % C: % d. According to the internal rates of return, which investment(s) should the firm make? The firm should make investment(s) e. According to both the net present values and internal rates of return, which investments should the firm make? b. According to the net present values, which investment(s) should the firm make? The firm should make investment(s) c. What is the internal rate of return on each investment? Round your answers to the nearest whole number. A: % B: % C: % d. According to the internal rates of return, which investment(s) should the firm make? The firm should make investment(s) e. According to both the net present values and internal rates of return, which investments should the firm make? The net present value and internal rate of return lead to so the firm should f. If the firm could reinvest the $3,875 earned in year 1 from investment B at 10 percent, which investment(s) should the firm mak Round your answer to the nearest dollar. Terminal value of investment B: \$ The firm should make investment(s) Would the answer be different if the rate were 12 percent? Round your answer to the nearest dollar. Terminal value of investment B: $ Interest Factors for the Future Value of One Dollar \begin{tabular}{|c|c|c|c|c|c|c|c|c|c|c|c|c|c|c|c|c|c|c|} \hline \begin{tabular}{l} Time \\ Period \\ (eg. \\ year) \end{tabular} & 1% & 2% & 3% & 4% & 5% & 6% & 7% & 8% & 9% & 10% & 12% & 14% & 15% & 16% & 18% & 20% & & 28% \\ \hline 1 & .990 & .980 & 971 & 962 & 952 & .943 & .935 & 926 & 917 & .909 & .893 & 877 & .870 & .862 & .847 & .833 & .806 & .781 \\ \hline 2 & .980 & .961 & 943 & 925 & 907 & 890 & 873 & 857 & 842 & 826 & .797 & .769 & .756 & .743 & 718 & 694 & .650 & .610 \\ \hline 3 & 971 & .942 & .915 & 889 & .864 & 840 & 816 & 794 & .772 & .751 & .712 & .675 & .658 & .641 & .609 & .579 & .524 & .477 \\ \hline 4 & .961 & .924 & 889 & .855 & 823 & .792 & .763 & .735 & .708 & 683 & .636 & .592 & 572 & .552 & .516 & .482 & .423 & .373 \\ \hline 5 & .951 & .906 & 863 & .822 & .784 & .747 & .713 & .681 & .650 & .621 & .567 & .519 & .497 & .476 & .437 & .402 & .341 & 291 \\ \hline 6 & .942 & 888 & 838 & .790 & .746 & 705 & .666 & 630 & 596 & .564 & 507 & 456 & 432 & 410 & 370 & 335 & 275 & .227 \\ \hline 7 & .933 & 871 & 813 & .760 & .711 & .665 & .623 & 583 & 547 & 513 & .452 & .400 & 376 & .354 & 314 & .279 & .222 & .178 \\ \hline 8 & 923 & .853 & .789 & .731 & 677 & .627 & 582 & .540 & .502 & .467 & .404 & .351 & 327 & 305 & 266 & .233 & .179 & .139 \\ \hline 9 & .914 & 837 & .766 & .703 & .645 & .592 & .544 & .500 & .460 & 424 & 361 & .308 & .284 & .263 & 226 & .194 & .144 & .108 \\ \hline 10 & .905 & .820 & .744 & .676 & .614 & .558 & .508 & .463 & .422 & 386 & .322 & .270 & 247 & .227 & .191 & .162 & .116 & .085 \\ \hline 11 & 896 & 804 & .722 & .650 & .585 & .527 & .475 & .429 & .388 & 350 & .287 & .237 & .215 & .195 & .162 & .135 & .094 & .066 \\ \hline 12 & .887 & 788 & .701 & .625 & .557 & .497 & .444 & 397 & .356 & .319 & .257 & .208 & .187 & .168 & .137 & .112 & .076 & .052 \\ \hline 13 & .879 & .773 & .681 & .601 & .530 & .469 & .415 & .368 & .326 & .290 & .229 & .182 & .163 & .145 & .116 & .093 & .061 & .040 \\ \hline 14 & .870 & .758 & .661 & 577 & .505 & .442 & .388 & 340 & 299 & 263 & .205 & .160 & .141 & .125 & .099 & .078 & .049 & .032 \\ \hline 15 & 861 & .743 & .642 & .555 & .481 & .417 & .362 & 315 & .275 & 239 & .183 & .140 & .123 & .108 & .084 & .065 & .040 & .025 \\ \hline 16 & .853 & .728 & 623 & .53 & .458 & .394 & .33 & 29 & .25 & 2 & .16 & .12 & .107 & .093 & .071 & .054 & .032 & .019 \\ \hline 17 & 844 & 714 & .605 & .513 & .436 & 371 & 317 & 270 & 231 & .198 & .146 & .108 & .093 & .080 & .060 & .045 & .026 & .015 \\ \hline 18 & .836 & 700 & .587 & .494 & .416 & .350 & .296 & .250 & 212 & .180 & .130 & .095 & .081 & .069 & .051 & .038 & .021 & .012 \\ \hline 19 & .828 & .686 & .570 & .475 & .396 & .331 & .276 & .232 & 194 & .164 & .11 & .083 & .070 & .060 & .043 & .031 & .017 & .009 \\ \hline 20 & 820 & .673 & .554 & .456 & 377 & 312 & .258 & 215 & .178 & .149 & .104 & .073 & .061 & .051 & .037 & .026 & .014 & .007 \\ \hline 25 & .780 & .610 & 478 & .375 & .295 & .233 & .184 & .146 & .116 & .092 & .059 & .038 & .030 & .024 & .016 & .010 & .005 & .002 \\ \hline 30 & .742 & 552 & 412 & 308 & .231 & .174 & .131 & .099 & .075 & .057 & .033 & .020 & .015 & .012 & .007 & .004 & .002 & .001 \\ \hline \end{tabular} \begin{tabular}{|c|c|c|c|c|c|c|c|c|c|c|c|c|c|c|c|c|c|c|c|} \hline \begin{tabular}{l} Time \\ Period \\ (eg. \\ yeai) \end{tabular} & 18 & 2% & 3% & 4% & 5% & 6% & 7% & 8% & 98 & 10% & 12% & 14% & 16% & 18% & 20% & 24% & 28% & 32% & 36% \\ \hline 1 & 0.990 & 0.980 & 0.971 & 0.962 & 0.952 & 0.943 & 0.935 & 0.926 & 0.917 & 0.909 & 0.893 & 0.877 & 0.862 & 0.847 & 0.833 & 0.806 & 0.781 & 0.758 & 0.735 \\ \hline 2 & 1.970 & 1.942 & 1.913 & 1.886 & 1.859 & 1.833 & 1.808 & 1.783 & 1.759 & 1.736 & 1.690 & 1.647 & 1.605 & 1.566 & 1.528 & 1.457 & 1.392 & 1.332 & 1.276 \\ \hline 3 & 2.941 & 2.884 & 2.829 & 2.775 & 2.723 & 2.673 & 2.624 & 2.577 & 2.531 & 2.487 & 2.402 & 2.322 & 2.246 & 2.174 & 2.106 & 1.981 & 1.868 & 1.766 & 1.674 \\ \hline 4 & 3.902 & 3.808 & 3.717 & 3.630 & 3.546 & 3.465 & 3.387 & 3.312 & 3.240 & 3.170 & 3.037 & 2.914 & 2.798 & 2.690 & 2.589 & 2.404 & 2.241 & 2.096 & 1.966 \\ \hline 5 & 4.853 & 4.713 & 4.580 & 4.452 & 4.329 & 4.212 & 4.100 & 3.993 & 3.890 & 3.791 & 3.605 & 3.433 & 3.274 & 3.127 & 2.991 & 2.745 & 2.532 & 2,345 & 2.181 \\ \hline 6 & 5.795 & 5.601 & 5.417 & 5.242 & 5.076 & 4.917 & 4.766 & 4.623 & 4.486 & 4.355 & 4. & 3.889 & 3.685 & 3.498 & 3.326 & 3.020 & 2.759 & 2.534 & 2.3 \\ \hline 7 & 6.728 & 6.472 & 6.230 & 6.002 & 5.786 & 5.582 & 5,389 & 5.206 & 5.033 & 4.868 & 4.564 & 4.288 & 4.039 & 3.812 & 3.605 & 3.242 & 2.937 & 2.678 & 2.455 \\ \hline 8 & 7.652 & 7.325 & 7.020 & 6.733 & 6.463 & 6.210 & 5.971 & 5.747 & 5.535 & 5.335 & 4.968 & 4.639 & 4.344 & 4.078 & 3.837 & 3.421 & 3.076 & 2.786 & 2.540 \\ \hline 9 & 8.566 & 8.162 & 7.786 & 7.435 & 7.108 & 6.802 & 6.515 & 6.247 & 5.985 & 5.759 & 5.328 & 4.946 & 4.607 & 4.303 & 4.031 & 3.566 & 3.184 & 2.868 & 2.603 \\ \hline 10 & 9.471 & 8.983 & 8.530 & 8.111 & 7.722 & 7.360 & 7.024 & 6.710 & 6.418 & 6.145 & 5.650 & 5.216 & 4.833 & 4.494 & 4.193 & 3.682 & 3.269 & 2.930 & 2.650 \\ \hline 11 & 10.368 & 9.787 & 9.253 & 8.760 & 8.306 & 7.887 & 7.499 & 7.139 & 6.805 & 6.495 & 5.988 & 5.453 & 5.029 & 4.656 & 4 & 3.776 & 3.335 & 2.978 & 2.683 \\ \hline 12 & 11.255 & 10.575 & 9.954 & 9.385 & 8.863 & 8.384 & 7.943 & 7.536 & 7.161 & 6.814 & 6.194 & 5.6 & & 4.793 & 4. & & 3.387 & 3.013 & 2.708 \\ \hline 13 & 12.134 & 11.348 & 10.635 & 9,986 & 9.394 & 8.534 & 8.358 & 7.904 & 7.487 & 7.103 & 6.424 & 5.842 & 5,342 & 4.910 & 4.533 & 3.912 & 3.427 & 3.040 & 2.727 \\ \hline 14 & 13.004 & 12.106 & 11.296 & 10.563 & 9.899 & 9.295 & 8.745 & 8.244 & 7.786 & 7.367 & 6.628 & 6.002 & 5.468 & 5.008 & 4.611 & 3.962 & 3.459 & 3.061 & 2.740 \\ \hline 15 & 13.865 & 12.849 & 11.938 & 11.118 & 10.380 & 9.712 & 9.108 & 8.559 & 8.060 & 7.606 & 6.811 & 6.142 & 5.575 & 5.092 & 4.675 & 4.001 & 3.483 & 3.076 & 2.750 \\ \hline 16 & 14.718 & 13.5 & 12.561 & 11.652 & 10.8 & 10.1 & 9.447 & 8.851 & 8.312 & 7.824 & 6.974 & & & & 4. & 4. & 3.503 & & 2.7 \\ \hline 17 & 15.562 & 14.292 & 13.166 & 12.166 & 11.274 & 10.477 & 9.763 & 9.122 & 8.544 & 8.002 & 7.120 & 6.373 & & 5.222 & 4.775 & 4. & 3.518 & 3.097 & 2.7 \\ \hline 18 & 16.398 & 314.992 & 13.754 & 12.659 & 11.690 & 10.828 & 10.059 & 9.372 & 8.756 & 8.201 & 7.250 & 6.467 & 5.818 & 5.273 & 4.812 & 4.080 & 3.529 & 3.104 & 2.767 \\ \hline 19 & 17.226 & 15.6 & 14.324 & 13. & 12.085 & & 10.336 & 9.604 & 8.950 & 8.365 & 7.366 & & 5.877 & 5.316 & & 4.097 & 3.539 & 3.109 & 2770 \\ \hline 20 & 18.046 & 516.351 & 14.877 & 13.590 & 12.462 & 11.470 & 10.594 & 9.818 & 9.128 & 8.514 & 7.469 & 6.623 & 5.929 & 5.353 & 4.870 & 4.110 & 3.546 & 3.113 & 2.772 \\ \hline 25 & 22.023 & 19.523 & 17.413 & 15.622 & 14.094 & 12.783 & 11.654 & 10.675 & 9.823 & 9.077 & 7.843 & 6.873 & 6.097 & 5.467 & 4.948 & 4.147 & 3.564 & 3.122 & 2.776 \\ \hline 3 & 2 & 322.937 & 600 & 17.292 & 1 & 765 & 4091 & 258 & 74 & 427 & 8.055 & 7.003 & 6.177 & 5.517 & 4.979 & 4.160 & 3.5 & 3.12 & 77 \\ \hline \end{tabular}
